Mulyani predicts economy to grow 5.3-5.5 pct in Q1

Antara News, Wednesday, March 17, 2010 21:37 WIB

Jakarta (ANTARA News) - Finance Minister Sri Mulyani Indrawati predicts Indonesia`s economy will grow 5.3 percent to 5.5. percent in the first quarter of this year.

"From January to the second week of March, the GDP is still above 5.0 percent or between 5.3 and 5.5. percent," she said at the submission of income tax reports by President Susilo Bambang Yudhoyono, Vice President Boediono and a number of state officials here on Wednesday.

The minister said investment had started recovering early this year recording higher figure than in the same period last year.

"Exports are also positive in February and March while consumption has remained constant ," she said.

Mulyani said there was also a good possibility the GDP would grow above 5.5 percent.

"Interest rates remain steady although there is a tendency for them to rise. So, the growth momentum in Q1 is very strong in the Asian region including in our country," she said.

The minister however said that the government would not as yet change its economic growth assumption of 5.5 percent.

"We still use the 5.5 percent assumption," she said.